The wheat market saw 2-5 cent gains in KC and CBOT on Monday, as funds liquidated on of the short with the USD weaker. With planted acres at over 100 year-lows, there has been some support to the winter wheat markets, but the upward momentum has been relatively contained. Weekly export inspections were disappointing again last week at only 276 TMT, down 110 TMT from the previous week and missed the estimate range of 300-500 TMT. Russian wheat prices are at eight-month highs, as the Ruble strengthens, which reflects the trend of higher global prices in the market. U.S. interior prices continue to hold firm, with new interest for some ordinary wheat in the truck market, but we have seen this come and go quickly in the past. Outside markets have Crude Oil recovering some of yesterday’s losses and the USD relatively steady near the 100 level. Grains lost much of the overnight momentum going into the break, so look for wheat to start off a couple lower but follow the cues of soybeans.
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